Per Woofun AI, Standard Chartered disclosed that market participants are exhibiting excessive hawkishness regarding Federal Reserve policy, arguing that the central bank is likely to maintain current interest rates through the end of the year. The bank’s mid-year outlook projects that monetary easing will resume in the first quarter of next year, driven by a U.S. economy that has demonstrated resilience beyond initial expectations.

Concurrently, the report highlights that a temporary diplomatic agreement between the United States and Iran could contribute to a peak in overall inflation during the second quarter. This macroeconomic backdrop presents favorable conditions for emerging market assets, particularly in India, where Standard Chartered remains inclined toward equity investments while anticipating a stabilization of the broader economic environment.